FUNDAMENTALS OF ISLAMIC BANKING (CTU351)

PREPARED BY:

FACULTY : FACULTY OF BUSINESS MANAGEMENT

PROGRAMME : BANKING STUDIES (BA119)
CLASS : 4F
PROJECT TITLE : ARTICLE CRITIQUE
- CONCEPT & METHODOLGY ISLAMIC BANKING

GROUP MEMBERS :
MEMBERS ID MATRIX
1. NURUL IRDINA BINTI JAFERYZIN 2019276226
2. NURUL FATIHAH BINTI ZAKARIA 2019414934
3. NURUL MAISARAH BINTI SUDJAI 2019226594
4. NURUL NAJWA BINTI ROZELAN 2019285322
5. RAJA NUR WAFAZIRA BINTI RAJA AZRIN 2019436154

PREPARED FOR :
USTAZAH ROS AMIRA MOHD RUSLAN

SUBMISSION DATE :
11 JUNE 2021
TABLE OF CONTENT

CONTENTS PAGE
1. Acknowledgement 1
2. Basic Information
- Name of the author
- Title of article
- Title of journal, volume number, date, month and page numbers 2-3
- Statement of the problem or issue discussed
- The author’s purpose, approach or methods, hypothesis, and major
conclusions.

3. - The title of the article appropriate and clear 4

- The abstract specific, representative of the article, and in the correct form

4. - The purpose of the article made clear in the introduction 5

- Errors of fact and interpretation

5. - Is all of the discussion relevant? 6

6. - Has the author cited the pertinent, and only the pertinent, literature? 7

7. - Have any ideas been over emphasized or underemphasized? 8

8. - Should some sections of the manuscript be expanded, condensed or omitted? 9

9. - Are the author’s statements clear? 10

10. - Has the author been objective in his or her discussion of the topic? 11
11. - Do you find any content repeated or duplicated? 12
12. Conclusion idk
13. References 19
ACKNOWLEDGEMENT

First and foremost, praises and thanks to the God, the Almighty, for His shower of
blessings throughout our case studies work in order to make it become successfully.
We would love to explicit our deep and honest gratitude to our Fundamental of Islamic
Banking lecturer’s, Ustazah Ros Amira for providing us with the opportunity to conduct these
article critique and also providing valuable guidance to us throughout this article critique
process. She has taught us on a way to try this article critique properly and redress our
mistake in an effort to carry out it properly and due to that we felt in reality fortunate. We
also would like to thank her for her consideration and notable experience of humour. We
would also like to extend our deepest gratitude to our parents for all their prayers, chance and
support for us to finishing this article critique successfully. Last but not least, this task would
certainly not be accomplished without the hard work and co-operation of our group members,
so through that a huge thank you and appreciate to our group members for did the best. We
also manage to complete this task in the meantime of the deadline and because of that a big
pat to all our group members.
INTRODUCTION
(1,2,3) The article we chose was entitled 'Sources of funds and invested in Malaysian Islamic
Banks' written by Abdel Wadoud Moustafa Moursi El-Seoudi, Mohd. Nasran Mohamad,
Amir Husin Mohd. Nor, Zaini Nasohah, Shofian Ahmad, Muhammad Nazir Alias, and
Ahmad Dahlan Salleh. The author of this article is from the Department of Syariah, Faculty
of Islamic Studies, Universiti Kebangsaan Malaysia. After we read the article as a whole, it
was found that this article discusses the process of investing funds in Islamic banks and the
purpose of investing funds in Islamic Banks. This article is the 6th volume and the number of
publications is 7. This article has a total of 6 pages including abstracts and references.

(4) Furthermore, this article also explains many issues on how to invest donations in Islamic
banks that represented in creating direct projects, building joint projects with others,
financing through partnerships, financing through several services implemented in banks
such as Muraabahah, direct trading, sale of Salam, Mudaarabah, sale of Ta'jeeri and
instalment sale. After we read this article in its entirety, this article has given the meaning of
the services implemented in the bank as above. For example, Muraabahah is sell objects
while inform the buyer of its original price and the profit their getting in this affair.

(4) This article also explains and focus on the relationship of the investing deposits with the
nature of the Islamic Banks activities. It explains that Islamic banks hold a several group of
Islamic activities. The first activity is related to accepting deposits while the second activity
is related to the fund's investment in various investment areas. Moreover, this article was
selected because it clarifies that Islamic banks are complementary to the spiritual value of
Muslims in saving or investment activities as it discriminates Islamic banks themselves from
other traditional banks based on riba or called conventional banks where they apply riba as a
return scheme their loans and investment activities.

(5) The main purpose of author behind this study is to explain about Sources of the funds of
the Islamic Bank because these source should be known well so that we can deduce level of
liking these source to the diverse forms of investment. In this article also we found that there
are several objectives emphasized by the author. Among them are two parts, the first part
focuses on achieving the Islamic bank's own profits in three scopes such as profit, security
and improvement of Islamic banks. The second part focuses on assisting in social benefits
such as provide basic necessities of the community in accordance with Islamic priorities or
more clearly participating in the development of plans and achieving social solidarity.
 (5) Beside that, this article mentions a lot about several sources that are of two types. The
first is internal resources which one ownership bank rights which include capital, reserves
and retained earnings. The second source is external sources which are savings in Islamic
banks. They are also considered to be the main source of reliance on Islamic banks in most
investment operations as they are one of the most important sources of banks ever.

The conclusion from this article by deepening the knowledge of Islamic banking may be
able to give more opportunity for the public to be more expose to the Islamic banking could
be truly becoming economically Islamic country. This article also has a good method for
motivate Muslims to save or spend their money based on Islamic rules. At the end of the day,
human beings will be evaluated and held accountable for what they have done to themselves.
CRITIQUE SUMMARY
(1) To start the introduction, let's first look at the topic that we will criticize which is the
sources of funds of the Islamic banks. After hearing this title, it is clear that we must already
know what this article wants to convey to the reader and what the author's motives are about
this article. so, the title of this article is very clear and suitable to be used as a title. this is
because ‘Sources of the Funds of the Islamic Bank’ has keywords for the search process in
the internet. In fact, it is difficult to know whether the title of this article is appropriate and
clear or not without us reading the entire content in this article.

(1) After we read and reviewed this article as a whole, this title is concise, clear, concise
and very informative. However, we have also evaluated this article by describing it accurately
with the studies mentioned in this article. Furthermore, we found that this title is effective in
capturing the attention of the reader even if it has only a short title. The title of this article
also gives us an idea of the content of the paper and can show the author's attitude towards
this topic. The title was also found to be appropriate to the subject and content within the
topic. It also has an appropriate tone of the paper, because if using a title, a cutesy title for a
term paper. So it is not appropriate to tone on a serious topic.

(2) The abstract we studied is in a correct and clear form that represents the entire
content of the article. This is because these abstracts were found to be used with cognitive
processes that begin with effective visual thinking. The meaning is more specific and related
to the subject's activity. An example that we can take in the abstract of this article is that
sources of funds consist of two types. first, internal resources which are the ownership bank
rights which include capital, reserves and retained earnings. Second, the external that is the
savings in Islamic banks. Here we can that the author has already given us the impression that
there are two types of sources of donation in Islamic banks. Actually it is also only done in
the process of manipulating objects and abstract reflections.
(3) The purpose of this article is not explained in the introduction to the article. It is discussed
in the abstract section on the second line. The purpose of this article is for us to know the
source of Islamic bank funds as it is the first starting point to form a bank investment policy.
Therefore, the author presents this article so that the reader can study the source of this source
skilful so that we can determine how far of its suitability source for various group of
investment. In the introduction of this article has the background of the study as well as the
theory underlying the study. The author also describes previous studies that have discussed
similar questions. According to the introduction, Islamic banks are Islamic banking
establishment that work on collect funds and investing them follow to the instruction of the
Islamic Shari’ah in a way that can serves the society of Islamic solidarity, fight for
distribution fairness, and putting funds on a solid Islamic footing.

(3) To further compact the existing content, we would like to add that Islamic banking also
known as Islamic finance or shariah-compliant finance, related to finance or banking
activities that comply to Shariah (Islamic law). Islamic banks invest capital to strengthen the
Muslim person and society, and as a result, their duty in society has grown significantly.
Therefore, relationship and adaptation between them and society forming of reasonable
requirement. Because the Islamic bank is interested in participating in development plans and
monitor of Islamic goals, striving to implement attractive Islamic income rates, it has the
obligation of concerned to the nature of their financial source and working to ensure their
steady growth. Thereby they may be competent to implement the preparation of investment
that can achieve the desired goal. This research need related the fundamental sources of funds
in the Islamic banks.

(4) In addition, in the article we studied, it was found that the content of the explanations
and arguments in this article had no factual and interpretive errors. This is because I believe
that this author has authored this article to the best of his ability. Furthermore, the authors of
this article are also numerous. So no wonder this article is very good to read. The author of
this article managed to interpret and give a correct picture referring to the work of other
authors. If seen in the references section, there are many references that we can trust and
make us not hesitate to trust this article.
 (4) For all we know, we as readers are our choice to speak to the author to rebuke or
validate hypotheses and theories. We are free to speak or give some ideas and arguments to
improve the article we read. But that is only our choice because we have to make sure that we
respect the person behind the research as a researcher because our purpose is simply to
rebuke mistakes and errors. Before doing so, we have to focus on the content of the article
and not on the author who is already well known anywhere.

(4) Next, we have also used the textbook as a source of interpretation for us to study
whether this article is misinterpreted or not. Using a textbook as a source of interpretation is a
very interesting process as we find many more explanations that are less clear. So we found
one primary source that we didn’t fully understand to make it easier to understand to see the
appropriate interpretations in this article than to try to describe it ourselves. In the process,
too, we found that it was able to expand our interpretation and required a little patience,
imagination and a little practice. We also use an important skill that is transferable skill and
also a diligent attitude to be needed during the process of developing our own thinking.

(4) Another reason why we say that this article has no factual and interpretation errors is
because the writer is good at putting the facts together so that it has meaning. It is also one of
the tasks for us to read a secondary source i.e. find and understand the author’s interpretation.
The authors of this article managed to communicate with readers using their robust
interpretations. Next the author has also made an interpretation that is easy for the reader to
find. For example, the author has placed a reference at the end of the page for reference by
the reader. In this article also uses essays one by one to explain the title and also uses points
in the form of numbers. For example, in a short essay, the writer will state the clarification as
part of the thesis declaration. The thesis statement is an accumulation of what the author is
saying in the article. So the thesis statement is found at the last of the introductory part or in
the conclusion.
 (5) Next, throughout the content of this abstract, the author provides a relevant discussion.
First, the author has given the content of the title that he wants to cover in this article. The
author also gives a clear objective. While finding this article relies heavily on other empirical
studies, there is no error of misinterpretation and facts. The author cites only relevant
literature and remains unprejudiced. Moreover, we found that this abstract presents in a
different way that we are able to provide invaluable help to find new solutions and get out of
difficult situations. Fragmentation and conclusions are also found in this article. Internal
speech is one of the obstacles to the clarity of abstract-logical thinking. Therefore, it is
necessary to train not only external, but also internal speech, achieving the most accurate
mental formulation in the process of solving complex problems. Commanded inner speech is
also called inner speech.

(5) In the abstract of this article, the author explains some of the objectives in this title.
These objectives can be classified into two categories. First and foremost, the group of the
Islamic bank's goal of obtaining self-benefit are embodied in the aim of profitability, the goal
of safety, and the goal of growth. Second, there is a collection of goals for obtaining social
benefit, such as engaging in development plans, meeting fundamental human needs, and
attaining social solidarity. But there is a lack of content and less dense content.

(5) To give a clearer explanation, we can add that the main intention of establishing
Islamic banks around the world is to introduce, nurture and thrive the demand of Islamic
principles, laws and traditions on financial business, banking and involves with business
dealings and to introduce the investment organization, manufacturing and problems that they
themselves are involved in the trade as is admissible and in accordance with Islamic basic,
laws and rules. Another importance goal of Islamic banking is to provide an equal
channelling of revenue and sources among the participants: the bank, depositors, and
businesses. This is accomplished by its built-in mechanical arrangement, as well as other
charitable actions funded by the Zakah fund.

(5) Overall, all the discussions in this article are relevant. The discussion of this article
succeeds in interpreting the meaning of the result and placing it in the next context can
explain why this source of funds in the Islamic Banks is important to Muslims today. In this
qualitative research, results and discussions were combined in small quantities and
alternately. This is because it is important to separate the objective results from our
interpretation of this article. After reading it many times, we found that all of these
discussions were written and highlighted important findings in the results of this article. It
also uses the same milking as the main title of the method section. Next it also relates the
results to the research questions from the introduction to the conclusion.

(5) The author also organizes relevant knowledge in an attractive way where the main title
and sub -topics are separated. Subdivision of guidance are also the key in an article and the
author has done their highest quality in easier to understand the sentences and
recommendation so that they are make more comprehensible by the reader. As an example
we can take in this article is divided into several parts. That is abstract, an introduction that
explains the contents of the resources of the funds in the Islamic banks which are divided into
two, in other words internal sources and external sources. Next it also touches on the content
related to the alliance of the investing deposits with the nature of the Islamic banks activities.
The author manages to touch on each of the contents and the discussion with relevance. Apart
from that, the means of investing funds in the Islamic Bank is also described in the article
where it means the procedure of investment of the sources of the Islamic banks basic on the
principle of ban the importance interest.

(5) On the next page, the author also discusses the target of investing funds in the Islamic
Banks in detail and the meaning is successfully understood more by the reader. This is
because in this section, these sub -headings are divided into two groups and the explanations
of these two groups are listed using numbers to make it easier for the reader to read and
study. Finally, do not miss the conclusions available to conclude all the content in this article.
All are relevant and have strong evidence through the references found at the end of the pages
of this article.

(5) In addition, the authors of this article also provide statements to support their
arguments. Readers will feel confident and unconvinced by the author's preparation because
it has support from reading materials or other studies. The reference of this article is found to
be sufficient because by including a journal or other studies, the reader will become more
confident and feel safe to deepen this knowledge.

(5) In my opinion, the author can add more issues such as giving an example if we face a
situation in the issue. Let's take an example under the subheading the external sources of the
funds from the article. As representative case of an Islamic savings account (based on a
mudaraba contract) in operation. The Dubai Islamic Bank offers the Al Islami Savings
Account, which gives the depositor profit on a quarterly basis and allows for the daily
withdrawal of up to AED 7,000. (AED stands for the Dubai currency, Arab Emirates
Dirham.) If the deposit amount stumble underneath a minimum level, the customer isn’t
deserved to PLS, and the bank charges the customer a service fee.

(5) A handful an Islamic bank savings accounts are neither mudaraba or musharaka
accounts, but rather based on a deposit contract (wadia) or trust deposit (amanah). In this
instance, the bank normally guarantees the deposit's nominal value, and depositors do not
earn an acquisition on their money. Nevertheless, the bank may at its own consideration
which is make a reward to the client (hiba) depending on the profit from the deposit. For
instance, Standard Chartered Saadiq provides trust-based savings accounts and declares that it
may, at its consideration, make an award symbolizes a percentage of the bank's income from
deposit investments.
 (6) The author has also mentioned the relevant and pertinent literature. So none of the
content should be deleted because it is already quite complete. There may be some content
that the author should add more in the article under the sub -heading consider of investing
funds in the Islamic Banks. Where we can add more to further strengthen the content in this
article is. The profit and loss sharing method is a framework that explains the importance
roles of capital and entrepreneurship which are not give thought to as differentiate factors and
have different bases in requirement of returns. On the other hand, the two elements have a
uniform fundamental in the case of such returns. In Islam, capital is considered to be a factor
of stored labour which is contained in one commodity and is used in the process of
production of another commodity.

(6) Return on capital either in the form of profit or rent according to the type of capital.
While entrepreneurs are human beings who process, manage, administer and own other
factors of production such as land, capital and labour in production activities. The
entrepreneur is responsible for the course of the production activity and the return to them is
in the form of surplus profits after all the returns are distributed to other factors involved in
the activity. In other words, the return to the entrepreneur is dependent on their ability,
capability, diligence and participation in and they cannot be held liable for incurring losses, if
any, which are not due to their negligence and carelessness.

(6) This proceed toward is very dissimilar from the approach of conventional profitable
systems which emphasizes the superiority of capital and hand over a fixed and natural value
without taking into account the losses and uncertainties faced by business person. By
differentiation, Islam has taken care of fairness instead of refuge of any specific interest. The
replacement of the usury-based banking and financial system, to a profit and loss-sharing
system not only replaces it from a technical point of view, but must use financing
mechanisms appropriate to the necessity of Shariah and the Muslim society. Further the
financial activities appropriate be directed to fulfil the objectives of Islamic socio-economic
charity. These goals can in short be said to be economic development that will get rid of
poverty, fair distribution of earnings and riches, and adequate employment opportunities for
the common people.

(6) Furthermore, the existence of Islamic banks and financial institutions is not bounded to
their achievement in dispose of usury or loan-sharking and profiting from the process and
investments made, but covers the how far to which they have accomplish the socio -economic
goals required by the Muslim society. For instance, in the particulars of mobilizing savings,
widespread entrepreneurship, competence in take advantage of savings intend at meeting the
basic needs of the Muslim society, decrease the convergence of luxury in the hands of a few
people and financial stability. Although all of these things cannot be achieved in the short
term, but at least they continue to strive to succeed in them in the long term. This is because
the socio-economic well-being orientation poses a challenge to Islamic banks and financial
institutions that are free from usury practices.

(6) In addition, in this article there is the author mentions only one example of an
investment account that is a Trust Account (Amanah). Investment accounts are the deposits
that their owners put in the bank so that their money can make profits and be increased. So
we will add a few more examples of accounts that we can take. In relation to depositors, the
Bank strives for them to deposit their money in this Bank. Among the examples are the
General investment account. The Bank receives money from depositors who intend to invest
through the Bank in the form of Investment accounts based on the principle of al-Mudarabah.

(6) Thus the Bank becomes the entrepreneur and the depositor becomes the owner of the
capital; and both agreed to share the profits earned from the Bank's efforts to invest the
savings. The Bank currently intends to offer a profit sharing ratio of 70 per cent to depositors
and 30 per cent to the Bank. The profit sharing ratio offer may be changed by the Bank from
time to time. Under al-Mudarabah law, investment savings made by customers with the Bank
are required to be fixed. The Bank intends to accept savings for periods of 1, 3, 6, 9, 12, 15,
18, 24, 36, 48, 60 months and above. The depositor does not interfere in the investment
management of his money. If the Bank's investment incurs a loss the depositor bears all such
losses.

(6) The next example is the Wadi'ah Savings Account. The bank accepts deposits from
depositors who want safe care and ease of use of their money in the form of Savings
Accounts under the principle of al-Wadi'ah. The bank seeks the permission of the depositors
to use their money as long as the money is kept with it. Depositors are entitled to withdraw
part or all of their savings balance whenever they wish, and in this case the Bank guarantees
to return the balance. All benefits and profits from the use of depositors' savings balances are
the right of the Bank. However, in contrast to the Current Account, the Bank intends to
provide at its sole discretion a portion of the profits derived from the use of the Savings
Account balance to the relevant depositors from time to time. The Bank provides Passbooks
and other normal services on Savings Accounts to depositors.

7. The article is discussing about Islamic Banking sources of funds and investments in our
country. There are a few ideas that I as a reader felt underemphasized. Throughout the article
there has no explanation between the differences of Conventional Banking and Islamic
Banking. As a reader we should understand first the main differences among these two-
banking organization because for Islamic Banking, is based on Sharee’ah Law while
Conventional Banking does not..

Initially, we need to comprehend the essential of Islamic Banking. Islamic financials’

genuine resource is an item cash is only a mode of trade and benefit of trade of labour and
products is the reason for acquiring benefit. The equilibrium spending plan is the result of no
development of cash and misfortune is shared wen the association endures misfortune. The
execution of understanding for the trading of labour and products is an absolute necessity
while dispensing assets under Bai Salam agreement and Bai Istisna contracts. Because of
presence of labor and products no extension of cash happens and along these lines no
expansion is made during the cycle. Because of authority over swelling, no additional costs
are charged by the association. There are a couple of arrangements, for example, Musharkah
and Diminishing Musharakah are made subsequent to ensuring the presence of capital
products prior to dispensing assets for a capital undertaking.

Furthermore, we additionally need to comprehend about Conventional banking, cash is an

item other than vehicle of trade and store of significant worth. The time esteem is the reason
for charging interest on the capital. The extended cash in the currency market without support
on the genuine resources which results on shortfall financing. The interest will be charges
even for a situation the association endures misfortunes accordingly there are no
understanding of sharing misfortune. While dispensing cash money, running account or
dealing with capital money, no understanding for trade of labour and products is made.
Because of the non-presence of labour and products behind the cash while dispensing
reserves, the development of cash happens which made swelling.

By explaining the differences of these two banks, readers will easily understand what the
authors wrote on this article. Islamic banks, everything from Islamic financial institutions, are
found to teach and sustain the Islamic economic thought's principles. As a result, the
purposes of investment funds are naturally impacted mostly by Islamic perspective. As a
result, the objectives of investing funds in Islamic banks might well be classified into two
categories: general Islamic Sharee‘ah aims and specific Islamic Sharee‘ah aspiration.

8. They did not explain about what is internal resources of the banks. Internal resources of the
banks. Profits from business operations or even money obtained through the sale of the
capital earnings are examples of internal funding sources. From the article, it is said that
Capital includes the cash and other financial assets held by an individual or business, and is
the total of all financial resources used to leverage growth and build financial stability.
Reserves are funds that are set aside from the benefits of the bank in a form of legal or special
reserve in order to support the financial position of the bank. Reserves, also known as
retained earnings, are part of a company's profits that are placed aside to help the company's
financial condition. Retained earnings refers to the portion of the net income which is
retained by the corporation to reinvest them afterwards to support the financial position of the
bank. The amount of net income left over for the firm after dividends have been paid out is
known as retained earnings (RE)

Presently, the article is clarifying about the External Sources of the assets, shockingly
they clarified about the outside wellsprings of the assets and it comprise of Current Account
or likewise be known as request store, Saving Accounts and Investing Accounts. The
incomes made by the association from outside sources, regardless of whether private or
monetary, are alluded to as outer wellsprings of financing. Outer money includes acquiring
capital from sources outside of the organization. Long haul and momentary outside
wellsprings of financing are the two classes of outer wellsprings of financing. Stores in
Islamic banks are one of the bank's most important assets ever. They are additionally viewed
as the secret weapon on which the Islamic bank depends for most of its venture tasks. Store,
in the space of Islamic banking, is a plan where the contributor pays an amount of cash to the
bank through one of a few strategies for instalment. Stores in Islamic banks are one of the
bank's most important assets ever. They are additionally viewed as the secret weapon on
which the Islamic bank depends for most of its speculation tasks. Store, in the space of
Islamic banking, is a course of action wherein the contributor pays an amount of cash to the
bank through one of a few techniques for instalment.
9. It is significant for everybody to comprehend the ideas of wellsprings of assets and put
resources into Malaysian Islamic Banks. The writers of the article clarified about how
ventures are the primary benefit for the bank. Every venture has its own predetermined
capacities for instance Mudaraarabah is an arrangement where an individual gives a measure
of cash to someone else to exchange with it and the second takes an offer in the benefit. We
need to comprehend on how does the arrangement of the bank works. The assets ought to be
designated well to shape various types of ventures. Toward the finish of the article, the article
has arrived at a few outcomes. The most significant of them are: the fundamental wellsprings
of assets in the Islamic banks are of two sorts, in particular; inner sources which are the
privileges of responsibility for bank which incorporate the capital, holds and held profit, and
outside ones which are stores in their few classifications. Stores in the Islamic banks are
perhaps the main assets of the bank ever and have a few classes: Current records call or
request store, saving records, contributing records which are the stores that their proprietors
put in the bank so their cash can make benefits and be expanded. These stores are of two
sorts, to be specific entrusting accounts and non-entrusting accounts. Relationship of the
contributing stores with the idea of the Islamic banks exercises is addressed in performing
two distinct types of the Islamic exercises by the Islamic banks. They are an action identified
with tolerating stores and a movement identified with putting assets in the various fields of
venture.

This is not withstanding what the Islamic banks do like exemplification of the Islamic
standards and qualities in the useful truth of the existence of people and setting up a
reasonable Islamic culture. Methods for putting assets in the Islamic banks are building up
direct tasks, setting up projects related to other people, financing through organization,
financing through Muraabahah, direct exchanging, offer of Salam, purchasing ahead of time,
Mudaarabah, offer of leasehold, and portion deal. Goals of putting assets in the Islamic banks
can be separated into two gatherings of the targets that the Islamic banks intend to
acknowledge in the overall setting of the Islamic Sharee'ah. They are; the gathering of the
destinations of accomplishing oneself advantage of the Islamic bank and the gathering of the
targets of accomplishing the social advantage. As Islamic monetary foundations, Islamic
banks are found to embed and foster the qualities and objectives of Islamic financial
reasoning. Accordingly, the objectives of venture reserves are normally affected by the
Islamic perspective. Subsequently, the reasons for putting assets in Islamic banks might be
parted into two arrangements of the reasons that Islamic banks endeavour to accomplish in
the general system of Islamic Sharee'ah.

11 The writers have been level headed with what them were talked about end route through
this article. There are two destinations that has been talked about by the creators. The primary
target is tied in with accomplishing oneself advantages of the Islamic Bank. The goal of
benefit is the quintessence of this gathering and the banks intends to accomplish it in the light
of the harmony between this point, liquidity and hazard and furthermore, there is a gathering
of different destinations included under this gathering. The first is even-handed of
productivity which is the main target and without this, the Islamic Banks won't keep on
achieving different destinations. Besides the goal of security which is the banks looks to work
in a spot that is protected and distant from hazard. Thirdly, objective of development which
alludes to It alludes to the development of the banks inside assets, like capital, held income,
and stores, just as the development of the bank's outer assets, like stores in different
structures, development of the bank's portion of the overall industry, development, everything
being equal, development of the volume of movement, and development of the quantity of
laborers and activities.

The subsequent goal is tied in with accomplishing social advantages which were partitioned
by three sections. The first is, take part in the plans of improvement where is the Islamic
Financial Institutions partake in any advancements interaction through what follows, for
example, put resources into exercises of the bank that worries building up the tasks that are
incorporated inside the arrangement of improvement fair and square of the state,
advancement exercises of the bank through financing the working and stable capital then, at
that point isolating in the method of fragmented organization. Furthermore, giving the
requirements of society as indicated by the Islamic first concerns which gave the fundamental
necessities of the Muslim society and deal with the undertakings that fulfil these
requirements. Thirdly Achieving the social fortitude via doing some friendly actives like
strict rivalries and taking part in create and raising Islamic mindfulness.
6) In light of this article, the writer didn't rehash any data from the beginning until the end.
Each and every passage has diverse theme that were shared. The creator got going with the
presentation of Islamic Banking that chips away at assortment reserves and furthermore
clarified about the contrasts between Internal Sources and External Sources. Subsequent to
clarifying about those two the creators additionally shared more data about entrusting
( appointed records )

All through the pages, we can see the significance of putting assets in the Islamic Banks.
We can perceive how nitty gritty the cycle is. There are a couple of steps that ought to be
followed which are building up direct undertaking, through association, and also Murabaha,
direct exchanging, offer of salaam which is purchasing ahead of time, mudaraba which is
alludes to an arrangement where an individual gives a measure of cash to someone else to
exchange it, offer of Tajiri which is leasehold and in conclusion portion deal.

Toward the finish of the article, the article sums up its exploration with a total outcome.
They close it totally. Every one of the points under Sources of Funds and put resources into
Malaysian Islamic Banks were are flawlessly composed and can be shared to everybody. The
title is and the subtopic has sufficient data for the peruses to peruse.
REFERENCES
Tracing the Sources and Uses of Funds in Islamic Banks. Erenow. (2019).
Retrieved from:
https://erenow.net/common/islamic-finance/10.php
Solution for Best Assignment Paper. Assignment Point. (n.d.).
Retrieved from:
https://www.assignmentpoint.com/business/banking/islamic-banking-concept-objectives-and-
basic-features.html